Excess Excise Duty

[Guest]

Our Finished goods supplier who is a manufacturer charges excess excise duty on goods supplied to us

We pass on the full excise duty to our customer ever though our selling price is less this is correct ??

we are fist stage dealer for our supplier

[varun arora]

Sir, As per my view You can not go beyond of invoice as issued by Manufacturer.

Invoices issued by yourself is correct in all terms, No one can challenge for the same.

[Mahir S]

Yes sir, you can pass on full excise duty even if selling price is less..

The matter has also been clarified by the Board.

AI Summary

Excess excise duty: first-stage dealers may reflect supplier-charged duty to customers despite lower selling prices. Whether a first-stage dealer may pass on excess excise duty charged by a manufacturer to its customer when the dealer's selling price is lower: forum responses indicate the dealer is bound by the manufacturer's invoice and may reflect the excise component to the buyer, with one respondent noting a Board clarification supporting passing the full duty even if the dealer's selling price is less.